Appraising the Universal Concepts of Insurance and Takaful: Similarities and Differences

Social security is a crucial part in human life, which consisted pre-arrangements against risky life. Takaful an essential approach provides confidence and ethical guidlines protecting assets. Takaful, considering Shari’ah principles, also applies the same principles of insurance for its operation even though consists some prohibited elements Islam. The objectives this study are to analyse governing takaful explain how Islam focuses on these aspects from Shariah perspective. designed as documentary research conceptual theoretical knowledge, it uses secondary sources such journal articles, books, reports, well main Islamic law. Findings that applied comply with shariah. Similarly, usually does not prohibit general guidelines created conventional institutions; however, strictly prohibits nocuous community. advantage making truth under religion, be transactions, social life free fear, privation, poverty. This supports researchers operators educated strongly shariah views takaful’s importance.